Pompey are hoping to persuade the striker to pen a contract extension at Fratton Park, having seen him hit 11 goals this season.
Fresh terms have been put to the one-cap England international, but he is yet to put pen to paper.
Cotterill admits discussions appear to have broken down, with the 25-year-old keen to keep his options open.
The fear for Pompey now is that a player they signed for £6million in 2007 could walk away from the club as a free agent once his current deal expires in the summer.
Hard work
Cotterill told The News: "I have no idea [on the contract latest]. We are not privy to what his agent is doing. He's just negotiating with us at this moment in time.
"I think there has been an offer made but there hasn't been anything coming back the other way. So he is obviously sitting and waiting until the end of the season.
"The better Nuge plays, the more press he gets and the more goals he scores. I don't know - does that take him away from Portsmouth?
"It would just be a shame with the hard work that's been put into Nuge that it all gets wasted and he goes somewhere else."
Fresh terms have been put to the one-cap England international, but he is yet to put pen to paper.
Cotterill admits discussions appear to have broken down, with the 25-year-old keen to keep his options open.
The fear for Pompey now is that a player they signed for £6million in 2007 could walk away from the club as a free agent once his current deal expires in the summer.
Hard work
Cotterill told The News: "I have no idea [on the contract latest]. We are not privy to what his agent is doing. He's just negotiating with us at this moment in time.
"I think there has been an offer made but there hasn't been anything coming back the other way. So he is obviously sitting and waiting until the end of the season.
"The better Nuge plays, the more press he gets and the more goals he scores. I don't know - does that take him away from Portsmouth?
"It would just be a shame with the hard work that's been put into Nuge that it all gets wasted and he goes somewhere else."
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